TRP EC AGARWOOD PROJECT
Objectives
 The main objectives of the project are to establish economic and environmentally
sustainable Agarwood production, to prevent extinction of forest trees, and to
support socio-economic development by improving rural people’s income; to build
a socio-economic and agro-forestry development model that can be applied
worldwide.
In particular the objectives of this project in Viet Nam are to plant Aquilaria
crassna trees and provide protection for this endangered species, find the best
method to optimize resin production in plantation-grown trees, and assist the
population and authorities to accomplish future independent and profitable
Agarwood production. The successful implementation of this project will yield
not only directly benefit project participants and the Agarwood market, but also
will be a showcase for other projects. Nature conservation can only be truly
successful when local’s inhabitant is closely involved in the planning and
implementation of such projects. This can alone be done when conservation
efforts are combined with socio-economic development. One of the most important
objectives of this project is to present a model and a methodology for similar
efforts.
Results: a successful method including of resin formation in young
plantation grown trees has been developed and the process is continually being
refined and optimized with ongoing research with TRP cooperator and wood
microbiologist Robert Blanchette, University of Minnesota.
Development: An over-exploited forest resource will be turned into a
long-term sustainable product that can be easily developed by poor farmers in
hard-to-reach areas. Small Agarwood home-gardens and larger size plantations by
farmers and provincial forestry enterprises will be cultivated. Processing
capacity and end-product manufacturing skills will benefit product development
and ultimately commercialization. Income generation as well as foreign currency
earnings will support farmers and state. Through the project plantation-based
Agarwood products will become available on the world market. An example of true
co-management of an endangered natural resource resulting in sustainable
production will be the end result of the project.
Research: New project research will determine the single best method for
resin inducement, test-marketing of Agarwood products will provide commercial
strategies and controlled production of seedlings will optimize tree
development. Research, technology transfer and training will go hand-in-hand.
Consequently, a research, quality control and knowledge base will be built, and
a manual for sustainable Agarwood production will be made available.
Conservation: Destructive and unsustainable harvesting has lead to endangering
Aquilaria throughout its range, resulting in calls for strict trade controls and
outright bans. In consultation with IUCN and TRAFFIC, the project supports
Aquilaria conservation. By offering the first real alternative to forest-based
exploitation of Agarwood, legislation, active protection and actual conservation
can be realized. Future legislation will increase demand for the
plantation-based Agarwood. Several areas holding natural stands of Aquilaria in
Viet Nam will receive better protection.
 Model: The creation of Agarwood supplies in Viet Nam will serve as a model for
applied science stimulating socio-economic development through tropical
agro-forestry. Close collaboration of top-level scientists and their research
with hands-on local level economic development, supported by technology transfer
and training will be demonstrated. An endangered species will be preserved by
cultivation at plantations, innovative marketing and commercialization. Creating
Agarwood supplies in Viet Nam will present a model of natural forest resource
co-management, and as such will be globally relevant. Specifically, this model
can serve as an example for the entire Southeast Asian Agarwood industry. It
will make international restrictions on harvesting and trade regarding
forest-based Agarwood feasible, as the project results offer a real alternative,
which so far has not been available.
Beneficiaries
 General: The primary stakeholders and beneficiaries are farmers in two provinces
in Viet Nam, the National University in Ho Chi Minh City, two provincial
Science, Technology and Environment institutions, and the Forestry Service of An Giang. In addition, worldwide Agarwood product manufacturers, traders and
consumers will be beneficiaries.
People: A minimum of 200 farming families who are extremely poor and have
incomes well below national averages will be taking part in the project, and
will be trained in planting, rearing, and resin inducement techniques. Trees
planted and supported by the project will be owned by participating farmers
living in and around forests. They are the direct economic beneficiaries of the
project.
Consumers will benefit because a stable amount and range of Agarwood products
will become available in due course, quality will be assured, and products will
remain affordable. A considerable number of participants will also benefit as
consumers of resin-impregnated incense, necessary for their religious
ceremonies.
Provincial counterparts from the Science, Technology and Environment services
and Forestry Service will receive intensive training, including propagation
techniques, marketing, and chemical and biological analyses.
Scientists: TRP has cooperated with Professor Robert Blanchette, at the
University of Minnesota and his research project over the last 9 years to
develop a successful way to induce agarwood in trees. In addition, training of scientists, and one
chemist will conduct a two year Post Doc in Aquilaria resin chemistry. The
primary participating Vietnamese institutions, the Science Technology and
Environment Services and the National University of Ho Chi Minh City, will
acquire specific technical, laboratory, training and research capabilities in
line with their general mission.
Processors, exporter and tax authorities will benefit because of the creation of
a sustainable source of Agarwood. A steady, legal, certified and
quality-controlled source of Agarwood will become available, taxes can be
levied, and income derived.
Activities
Research and experiments are and will be conducted to select the best and most
efficient treatment to induce Agarwood formation at plantations. Chemical
research and analyses is focusing on quality assessment, control and
verification. Techniques, tools and inducement compounds are developed to be
applied on a large scale.
Cultivate seedlings in nurseries: As has been identified during the previous
pilot project, the availability of sufficient amount of high quality seedlings
remains a problem for some time to come, caused by the disappearance of most
seed-producing mother trees the lack of well organized production facilities and
expertise. The institution of nurseries at all sites will provide an ample
supply of high quality seedlings and cuttings. Trees will be planted during the
entire duration of the project, thus growing a supply of Aquilaria trees needed
to produce Agarwood during and after its conclusion.
Planting of trees: At least 400 hectares will be planted throughout project
areas in Southern and Central Viet Nam. Home-gardens, small plantations and
forestry service plantations will be involved in this effort. Other cash crops
will be intercropped with trees improving diversity, which will help offset
plant disease and provide income during the first years of tree growth.
 Training and technical assistance: Training sessions will be conducted for both
community level participants and provincial counterparts. Simple inducement
techniques and tools will be developed and made available. Processing
techniques, post harvest treatments, and product manufacturing will be
demonstrated on a try-out scale. Scientists will receive internationally
credited university training. Laboratory equipment installed at The University
of Ho Chi Minh City and the Kon Tum Science, Technology and Environment service
will allow for training to be conducted in Viet Nam. Furthermore, these lab
facilities will provide for ongoing quality control and independent
manufacturing of inducement compounds and storage and handling of fungi needed
for these compounds.
Monitoring of plantations: The project continues monitoring the previous TRP-pilot
project plantations in Nui Giai mountain (An Giang) and monitor resin production
from these earlier planted trees. These trees have grown to sufficient size to
be treated and produce resin in 2002.
Marketing, product examination and innovation: Resin from the trees will be
test-marketed both in whole and in distilled oil form. In addition, TRP will
conduct further research into new Agarwood-based products, and improved
post-harvest handling and processing procedures.
Taxonomy studies and distribution surveys: Surveys covering both biological
issues and socio-economic situation will be conducted in project areas. These
will support Aquilaria conservation and close participation of local
inhabitants, taking into account their wishes, input and distinct culture. Maps
will be produced as part of these surveys.
Project Organization
The project is managed by TRP, through its offices in Amsterdam, Ho Chi Minh
City, and project-site offices in An Giang and Kon Tum province. Local
management groups are set-up by TRP and provincial authorities. These groups
include several farmers belonging to local communities, a member of the
principal partner in the province STE, and a TRP representative (in-country
national). This TRP representative is working on full-time basis to support each
local management group, directly reporting to the project coordinator, who is
supported by a Vietnamese person as full-time assistant project manager. TRP
commissioned a reputable international auditing firm to review project finances
on a yearly basis. TRP, wherever possible, decentralized the project
administration to Viet Nam on cost and local income generation grounds.
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